How To Use the 2022 Worker Shortage in Your Business’s Favor
The 2022 worker shortage is now a reality. With the baby boomer generation retiring, there just aren't enough workers to go around. This means that businesses will have to get creative if they want to stay competitive. Luckily, there are a few ways that you can use the shortage in your favor, like taking advantage of worker shortage outsourcing and small business marketing.
Why Is There a Labor Shortage?
Many factors are causing the current labor shortage in America. One of the most significant is The Great Resignation, which refers to the mass exodus of workers from the workforce in search of better opportunities. More than 47 million people quit their jobs in 2021, many of whom were seeking a better work-life balance, more flexibility, higher pay, and strong company culture.
Other reasons for the shortage include an aging population and a decrease in foreign workers due to tightened immigration policies. The result is a perfect storm of sorts that has businesses scrambling to find qualified employees.
The lack of available workers is having a ripple effect on the economy as a whole, as businesses are forced to slow down production, increase their small business marketing, or raise prices to offset the increased cost of labor. These actions could lead to inflationary pressures down the line, making it even more difficult for companies to find qualified workers, causing them to opt for worker shortage outsourcing.
What Are Some Major Contributors to the Worker Shortage?
There are a number of factors that have contributed to the worker shortage. One is the aging population. As baby boomers retire, they leave behind a smaller pool of potential workers. This is especially true in developed countries where birth rates are low.
Another factor is the increasing popularity of working from home. Many workers now have the option to telecommute, and many find it preferable to working in an office. According to a Gallup poll, 91% of U.S. employees wished they could continue working some of their hours from home, and three in 10 indicated that they would look for new employment if called back to the workplace.
Finally, global economic growth has increased the demand for workers in certain sectors. This demand has driven up wages and made it difficult for businesses to find qualified employees, resulting in companies opting for strategies like worker shortage outsourcing and increasing small business marketing.
How Are Businesses Being Affected by This?
The worker shortage is at a national record high, and businesses are struggling to fill current job openings. The U.S. recovery has made it harder than ever for businesses to recruit and retain the talent they need to achieve key business goals. Businesses are being forced to get creative in their recruiting efforts, offer higher wages and better benefits, and provide more training. Job openings at the end of April 2022 were around 11.4 million, slightly down from December but up a whopping 61% from February 2020.
The United States has struggled to recruit and retain the talent it needs to achieve its strategic objectives for much of this year. Businesses are responding to the worker shortage in various ways, from increasing their investment in small business marketing development programs to partnering with schools and community colleges to help train workers. Ultimately, businesses will need to adapt to the new reality of a tight labor market by embracing things like worker shortage outsourcing.
How Can Outsourcing Help?
Outsourcing can help fill the gap created by the worker shortage. When done correctly, it can provide businesses with access to experts, greater flexibility, and improved business process management (BPM). However, one of the most significant advantages is that it can help alleviate the worker shortage.
BPM is like outsourcing, except that the service provider takes responsibility for delivering the full business process, as well as staff hiring, training, and management.
Worker shortage outsourcing gives businesses instant access to a pool of highly skilled workers from around the world. A bigger worker pool means they can get the job done quickly and efficiently, without going through the time-consuming and often costly process of recruiting and training employees.
If you are thinking about worker shortage outsourcing or small business marketing, partnering with a reputable company with experience in your industry is important. This will help ensure that you get the results you need.
The 2022 worker shortage is here, and businesses need to start preparing. There are many ways to combat the worker shortage, but one of the most effective solutions is worker shortage outsourcing.
Fifth & Cor can help you with your business marketing needs, from social media to blogging and PR media placements. You don't need to employ an entire marketing department; partnering with us frees up your time and financial resources. Contact us today to get started!